The marginal cost curve is generally ______________, because diminishing marginal returns implies that additional units are ________________________.
A) downward-sloping; more costly to produce
B) upward-sloping; more costly to produce
C) downward-sloping; less costly to produce
D) upward-sloping; less costly to produce

Question

Quizplus · Accepted Answer

The marginal cost curve is typically upward-sloping due to the principle of diminishing marginal returns, which states that as more units of a good are produced, the cost of producing an additional unit increases.

The Marginal Cost Curve Is Generally ______________, Because Diminishing Marginal